MAT climbs to highest close since March 6th
Mattel Inc. (MAT) Technical Analysis Report for Jul 23, 2020 | by Techniquant Editorial Team
Moving higher for the 4th day in a row, MAT ended Thursday at 11.63 gaining $0.27 (2.38%) on high volume, strongly outperforming the S&P 500 (-1.23%) ahead of today's earnings report. Today's close at 11.63 marks the highest recorded closing price since March 6th. Ending the day with an indecisive close, neither buyers nor sellers were able to gain control during the session.
Daily Candlestick Chart (MAT as at Jul 23, 2020):
MAT is set to report earnings after today's market close. For the upcoming report, analysts expect the company to have earned $-0.38 per share. The company's last earnings report was released on May 5, 2020, when Mattel Inc. reported earnings of $-0.56 per share missing market expectations by -33.3%.
Thursday's trading range has been $0.41 (3.57%), that's above the last trading month's daily average range of $0.34. Weekly volatility is also higher, being above the market's average weekly trading range. The longer-term, monthly volatility is currently higher than usual for MAT.
With another close above the upper Bollinger Band, prices are confirming their strong upward momentum in the short-term. A drop back into the Bollinger Band on the next trading day although might signal a potential change in momentum that could lead to a correction back down towards the center of the Bollinger Bands at 10.35.
While still in a long-term downtrend, the short and medium-term trends both turned bullish already.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the Technical Indicators based market condition "RSI(14) above 70" stand out. Its common bearish interpretation has been confirmed for Mattel. Out of 35 times, MAT closed lower 60.00% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the short side has been after 10 trading days, showing a win rate of 57.14% with an average market move of -1.80%.